Research On The Project Financing Of XiangTan DaXiang Corporation

As the main impetus which has dramatically contributed to the development of Nation Economy, small and medium-sized real estate enterprises have become the powerful engine of the development of economy. However, problems remain among these companies, for instance, inferior credit level, unstable cash flow, and low net assets. Along with some certain discriminational terms of payments that exists in the financial institution, the prevailing phenomenon such as narrow financing channels and great difficulties of financing is gradually becoming the aching restrictive matter which greatly detriment the development of Small and medium-sized real estate enterprises in China.Small and medium-sized real estate enterprises use project financing as a new solution to this problem. Project Financing ,whether it is of limited recourse or unlimited recourse, take a huge advantage over any other traditional way of financing, and thus can be utilized to real estate development projects which are capital-intensive projects.This solution can be of great importance for the sustainable development of the mall and medium-sized real estate enterprises.This thesis,by analyzing the case of XiangTan DaXiang Corporation, discusses how can the small and medium-sized real estate enterprises obtain the funds needed for development by making use of the project financing, and how to solve the problem of the project financing of small and medium-sized real estate enterprises. This thesis is divided into five chapters:Chapter one first introduces the general research background from three aspects.As follows, the important role of small and medium-sized real estate enterprises in the national economy, their financing status, and the development of project financing in China. Then, discusses the significance and aim of this studyChapter two discusses the basic theory of project financing comprehensively. First introduces the definition and features of project financing. Second, describes how the six models of project financing work respectively. Third, uses flow chart to introduce the procedures of project financing. At last, explains the type of project financing risk and how to control different types of risk accordingly.Chapter three introduces the present situation of small and medium-sized real estate project financing. First, defines the scope of small and medium real estate companies; Secondly, describes funding sources of real estate projects; Thirdly, discusses the project financing difficulties of small and medium-sized real estate; Finally, analyzes its two causes of financing difficulties from small and medium-sized real estate enterprise own causes and external causes. Chapter four analyzes the case objectively by combining the case and theory on the basis of theoretical explanations. This thesis firstly introduces the overview of the case of XiangTan DaXiang Corporation project financing.Then, analyzes the case specificly:establishes cash flow model of XiangTan DaXiang Corporation, shows its specific model of project financing, analyzes its risks in project financing and how to control risks accordingly, and summarizes successful experience of XiangTan DaXiang Corporation on the basis of previous thesis discussed.Chapter five proposes specific measures for developing project financing of small and medium-sized real estate enterprises in china based on the previous theory discussed and case analyzed,which from three aspects of enterprise, financial institutions and the government.